Royal Vopak NV · EURONEXT:VPK
Royal Vopak NV — Q3 2020 Earnings Presentation
23 slides from Royal Vopak NV's earnings presentation, Nov 6, 2020
Slide 1: Storing vital products with care
Storing vital products with care 6 November 2020 Vopak Interim Update Q3 2020 – Analyst Presentation Gerard Paulides – CFO of Royal Vopak
Slide 2: Forward-looking statement
Forward-looking statement This presentation contains ‘forward-looking statements’, based on currently available plans and forecasts. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the
Slide 3: YTD Q3 2020 key messages
YTD Q3 2020 key messages Continued good financial performance and improved occupancy rates Cost efficiency measures are progressing well and tracking below our revised target of EUR 600 million for the year Executing of our strategy with Dow acquisition in industrial terminals Continued grow
Slide 4: Q3 2020 COVID-19 update
Q3 2020 COVID-19 update We are in control and our governance structures are functioning well We will manage this crisis to the best of our ability to ensure we protect our people and support society by storing vital products with care All terminals are operational to serve our customers. If an
Slide 5: Business environment update
Business environment update Long-term sustainable portfolio, well positioned for opportunities Chemicals Stable storage, reduced throughput Oil products Benefit from contango continues Different demand patterns for Oil hubs: contango impact oil markets durable and non-durable products slowed dow
Slide 6: YTD Q3 2020 vs YTD Q3 2019 EBITDA
YTD Q3 2020 vs YTD Q3 2019 EBITDA EBITDA - post divestments - increased by EUR 32 million reflecting resilient business performance including currency headwinds of EUR 11 million 625.0 4.8 2.6 0.0 602.7 54.2 5.7 17.6 570.8 23.7 11.1 YTD Q3 Divested Adjusted FX-effect Americas Europe & Asia & LNG Chi
Slide 7: Divisional performance
Divisional performance Europe & Africa reflect strong oil storage and lower out-of-service; Americas and Asia & Middle East temporary lower chemical throughput; China strong demand Americas Asia & Middle East China & North Asia 92 93 94 87 87 87 80 84 90 88 82 73 74 71 64 43.2 47.6 48.7 44.9 70.8 85
Slide 8: Q3 2020 vs Q2 2020 EBITDA
Q3 2020 vs Q2 2020 EBITDA Resilient business performance despite EUR 6 million negative FX effects and cost phasing 0.8 1.0 1.2 202.4 4.6 8.4 200.1 6.0 0.7 196.4 Q2 2020 FX-effect Adjusted Europe & LNG China & Americas Asia & Global Q3 2020 Q2 2020 Africa North Asia Middle East functions, corporate
Slide 9: Occupancy rate developments
Occupancy rate developments Occupancy rate continued to trend up following support from oil storage demand Out-of-service capacity reduced, though work restrictions continued in Singapore Subsidiary occupancy rate and out-of-service capacity In percent 90-95% 85-90% 91 88 86 84 82 84 84 2011 2012 20
Slide 10: Cash flow overview
Cash flow overview Continued investments in growth; cash momentum supported by divestment proceeds and capital repayment YTD Q3 2020 YTD Q3 2019 In EUR million In EUR million 553 427 524 537 488 565 29 203 168 49 381 321 206 318 282 39 257 86 CFFO Tax & other CFFO Sustaining, FCF Divestments Growth
Slide 11: Q3 Portfolio highlights
Q3 Portfolio highlights Established leading position in industrial terminal delivery Dow industrial terminals transaction Industrial terminal delivery Vopak & BlackRock joint venture to acquire three Target 1-3 new industrial terminal opportunities in ’19-’20 industrial terminals (852,000 cbm) f
Slide 12: Portfolio developments
Portfolio developments Growth program of 2.4 million cbm in 2020-2022 Dow transaction Botlek 852,000 cbm Vlissingen Qinzhou Corpus Christi Deer Park 63,000 cbm Caojing 9,200 cbm 290,000 cbm 130,000 cbm 33,000 cbm German LNG 65,000 cbm Antwerp Altamira Vopak Moda Open season completed Vietnam PITSB 5
Slide 13: Non-IFRS proportional information
Non-IFRS proportional information Proportional consolidated information provides transparency considering increase joint venture contribution relative to subsidiaries EBITDA Occupancy rate Q3 2020 occupancy per division In EUR million In percent – subsidiaries only In percent – subsidiaries only IFR
Slide 14: YTD Q3 2020 key messages
YTD Q3 2020 key messages Continued good financial performance and improved occupancy rates Cost efficiency measures are progressing well and tracking below our revised target of EUR 600 million for the year Executing of our strategy with Dow acquisition in industrial terminals Continued grow
Slide 15: Looking ahead
Looking ahead We aim to grow EBITDA over time with new contributions from growth projects and replace the EBITDA from recent 2019 and 2020 divested terminals, subject to market conditions and currency exchange movements. Cost management continues in 2020 and Vopak’s cost base is currently tracki
Slide 16: Questions & Answers
Storing vital products with care Vopak Interim Update Q3 2020 Questions & Answers
Slide 17: Vopak Q3 2020 interim update
For more information please contact: Upcoming events: Investor Relations contact: Publication of 2020 annual results Laurens de Graaf, Head of Investor Relations 17 February 2021 Telephone: +31 (0)10 400 2776 e-mail: investor.relations@vopak.com Publication of Q1 2021 interim update 21 April 2021 Me
Slide 18: Americas developments
Americas developments Storage capacity Occupancy rate* Revenues* In million cbm In percent In EUR million Total Q3 2020 92 90 93 94 84.0 88 79.3 81.8 79.5 0.2 0.5 4.5 million cbm 78.3 Subsidiaries 3.8 Joint ventures & associates Operatorships Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2019 2019 2020 2020 2020 20
Slide 19: Asia & Middle East developments
Asia & Middle East developments Storage capacity Occupancy rate* Revenues* In million cbm In percent In EUR million Total Q3 2020 87 87 87 73.4 74.9 73.0 3.3 82 70.6 70.3 4.2 15.4 million cbm 71 Subsidiaries Joint ventures & associates 7.9 Operatorships Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2019 2019 2020 2
Slide 20: China & North Asia developments
China & North Asia developments Storage capacity Occupancy rate* Revenues* In million cbm In percent In EUR million Total Q3 2020 80 84 73 74 0.8 2.8 million cbm 64 9.7 9.8 10.4 10.6 8.9 2.0 Subsidiaries Joint ventures & associates Operatorships Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2019 2019 2020 2020 2020
Slide 21: Europe & Africa developments
Europe & Africa developments Storage capacity Occupancy rate* Revenues* In million cbm In percent In EUR million 1.3 Total Q3 2020 88 91 152.7 84 84 83 131.9 136.2 10.6 million cbm 126.8 128.1 Subsidiaries 9.3 Joint ventures & associates Operatorships Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2019 2019 2020 202
Slide 22: JVs & associates developments
JVs & associates developments Net result JVs and associates* Americas* Asia & Middle East* In EUR million In EUR million In EUR million 53.4 50.9 46.2 45.9 43.4 24.8 24.8 24.1 22.5 20.6 2.9 3.1 3.0 2.4 2.1 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 2019 2019 2020 2020 2020 2019 2019 2020 2020 2020
Slide 23: Project timelines
Project timelines Vopak’s Capacity Country Terminal ownership Products (cbm) 2018 2019 2020 2021 2022 2023 Growth projects Existing terminals Indonesia Jakarta 49% Oil products 100,000 Indonesia Merak 95% Chemicals 20,000 Mexico Veracruz 100% Oil products 79,000 Netherlands Rotterdam - Botlek 100% C